Zillow: Sell on the West Coast, buy on the East Coast | 2014-03-19 | HousingWire

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Here are the top housing markets right now

March 19, 2014

If you are looking to sell your home, living on the West Coast drastically gives you the upper hand on selling power as spring home shopping season heats up. According to Zillow’s latest analysis of national buyers and sellers markets, sellers in the West have better odds selling their home, compared to buyers in the Midwestern and East Coast, who face less competition for buying a home.

“The real estate data in markets on both coasts are telling markedly different stories. Relatively strong job markets in the West are helping spur robust demand, which is being met with limited supply, causing rapid home value appreciation and giving sellers an edge,” said Zillow Chief Economist Stan Humphries.

“In the East, housing markets are appreciating a bit more slowly, and homes are staying on the market longer, which helps give buyers the upper hand,” Humphries added.

As a result, Humphries explained that buyers in sellers’ markets this spring can expect tight inventory, increased competition and a greater sense of urgency. In comparison, sellers in buyers’ markets may need to be prepared to lower their asking price, or to wait longer for the perfect buyer to come along.

As a result, Zillow comprised this list of the top five seller and buyer markets.

Top 5 seller markets

1. San Jose, Calif.

As the top selling market, San Jose boasts a $748,800 Zillow home value index, compared to a $2,819 Zillow rent index. Year-over-year the ZHVI changed 13.5%.

2. San Francisco, Calif.

The city home to the Golden Gate Bridge recorded a $648,700 ZHVI, a 17.7% year-over-year change. Meanwhile, the city posted a $2,676 ZRI.

3. San Antonio, Texas

San Antonio is the city furthest to the east and posted a $152,400 ZHVI, a 4.3% year-over-year change, and a $1,249 ZRI.


4. Los Angeles, Calif.

Los Angeles hit a $503,400 ZHVI, which is a 16% year-over-year change. Plus, the busy city posted a $2,356 ZRI.

5. Seattle, Wash.

Just south of Canada and home of Zillow, Seattle recorded a $312,400 ZHVI, a 9.7% year-over-year change, and a $1,751 ZRI.

Top 5 buyer markets

1. Cleveland, Ohio

Ranking as the number one buyers market, Cleveland recorded a $115,000 ZHVI, a .7% year-over-year change, and a $1,127 ZRI.

2. Philadelphia, Penn.

As one of two cities in Pennsylvania, Philadelphia posted a $193,000 ZHVI, a 2.4% year-over-year change, and a $1,517 ZRI.

3. Tampa, Fla.

Tampa, located in the Sunshine State, reported a  $135,900 ZHVI and a $1,226 ZRI. This represents 15.3% year-over-year change in ZHVI.


4. Chicago, Ill.

Chicago reached a $177,800 ZHVI, a 8.3% year-over-year change, and a $1,615 ZRI.

5. Pittsburgh, Penn.

Barely making the top five list and the second city in Pennsylvania, Pittsburgh posted a $119,600 ZHVI, a 5.1% year-over-year change, and a $1,070 ZRI.

Mortgage Rates Hold Ground Near 3-Month Highs

30 Year Fixed

4.63%    +0.00

15 Year Fixed

3.64%    +0.00

10YR Treasury

3.00%    +0.0076

FNMA 30YR 3.5

99.39    +0.02

FNMA 15YR 2.5

102.05    +0.06

Mortgage Rates Hold Ground Near 3-Month Highs
January 3, 2014
Market Summary

Mortgage rates technically ended the week in slightly better shape than last Friday’s rates.  The difference was almost negligible, however, equating to 0.02% in terms of rate and leaving rates very close to 3-month highs.

4.625% remains the most prevalently quoted 30yr Fixed, Conforming rate for ideal scenarios (best-execution).

Although the holidays are officially behind us, the bond markets that underpin mortgage rate movement managed to remain in “holiday mode.”  Part of this has to do with the fact that this week still contained a day and a half of down time for bond markets, but a blizzard in New York certainly didn’t encourage traders to be in the office.

This time around, light holiday activity didn’t result in any extreme volatility for interest rates, as it sometimes can.  Although we shouldn’t necessarily expect excessive movement in either direction, the level of activity should pick up next week.  More traders will be back from vacations (forced or otherwise) and important data will require more attention, especially Friday’s Employment Situation Report.  The implication of increased activity is more potential movement in rates, for better or worse.

Matthew Graham, Chief Operating Officer, Mortgage News Daily

30 Year Fixed Rate Mortgage

Week in Review
Rates shown below are based on the 30 Year Fixed Rate Mortgage
Beginning Average: 4.65%
Ending Average: 4.63%
Weekly Change: -0.02%
Yearly Change: +1.17%
Friday, December 27, 2013  :   4.65% (-0.01%)

Mortgage rates recovered modestly in most cases, falling just below the highest levels in more than 3 months. As has been the case for the entire week, the bond markets that underlie mortgage rate movement were exceptionally quiet.  There haven’t been any significant developments for them to react to, and market participation is too low to muster much of a reaction anyway.

As such, we’ve simply been drifting in the direction of the last hard push Back in early November.  Unfortunately that “push” was in a moderately higher direction.  The pace has been fairly gentle compared to what we endured this summer, but even though the interest rates being quoted aren’t rising as quickly, the closing costs associated with those rates have been drifting higher and higher.

Monday, December 30, 2013  :   4.62% (-0.03%)

Mortgage rates continued lower to begin the week after pulling back just slightly from 3-month highs on Friday.   Activity continues to be subdued in the financial markets that underlie the day to day movement on lenders’s rate sheets, making day-to-day changes less a factor of the day’s events and more to do with random chance.


In addition to that randomness, there’s certainly been default momentum leading higher in rates.  In general, that momentum has now led rates back to longer-term highs seen in August and September right as the year draws to a close.  While this isn’t an environment where you’d want to plan on falling rates, the way that we’ve hit recent highs presents the first opportunity to see a pocket of improvement within the longer-term trend higher.

Tuesday, December 31, 2013  :   4.63% (+0.01%)

Mortgage rates were little-changed today, ending the year less than a quarter of a percentage point away from their highest levels in more than 2 years.  4.625% remains the most prevalently quoted rate for ideal, conforming 30yr Fixed loans  (best-execution), with the only changes being seen in the form of closing costs.

On average, rates were an eighth of a percentage point higher on several occasions in August and September this year.  Before that, we’d have to go back to April 2011 to see higher.

Despite the steep rise in rates in 2013, the average rate for the entire year (4.25%) is the second lowest on record next to 2012’s 3.75%.  The previous 3 years were each roughly 0.25% higher and 2008 was roughly a full 1.0% higher than that.  To make this easier to digest, here’s a quick recap of that info:

Thursday, January 2, 2014  :   4.63% (+0.00%)

Mortgage rates were almost perfectly flat today.  Various lenders were in slightly better or worse shape, but on average, today’s quotes will look very similar to Tuesday’s.  That means 4.625% remains the most prevalently quoted rate for ideal, conforming 30yr Fixed loans  (best-execution), with the minimal changes coming in the form of closing costs.

The financial markets that underlie mortgage rate movement managed a slightly more active day with the arrival of the new year, but things won’t be close to normal until next week.  That means rates are currently being decided with fewer than the normal amount of votes.  When the majority returns next week, it could result in more pronounced movement.

Friday, January 3, 2014  :   4.63% (+0.00%)

Mortgage rates were even more unchanged today than yesterday.  Not only was the average rate among various lenders unchanged, but individual lenders all stayed closer to the yesterday’s rate sheets, whereas some were a bit higher or lower yesterday.

That said, the flatness was only accomplished after some mid-day price changes when improving market conditions allowed lenders to release better rate sheets.  Before that, the day’s average would have been slightly higher.  4.625% remains the most prevalently quoted rate for ideal, conforming 30yr Fixed loans  (best-execution).

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Today’s Rates
Best Execution
Rate Change
30 Yr FRM 4.63% +0.00
15 Yr FRM 3.64% +0.00
FHA 30 Year Fixed 4.25% +0.00
Jumbo 30 Year Fixed 4.55% +0.00
5/1 Yr ARM 3.25% +0.00
Average Mortgage Rates
Rate Points Change
15 Yr. Fixed 3.62% 1.06 +0.18
30 Yr. Fixed 4.49% 1.21 +0.22
MBA **
30 Yr. Fixed 4.64% 0.41 +0.02
15 Yr. Fixed 3.74% 0.29 +0.08
30 Yr. Jumbo 4.63% 0.24 +0.02
30 Yr. FHA 4.29% 0.24 +0.04
5/1 ARM 3.26% 0.39 +0.06
Freddie Mac **
30 Yr. Fixed 4.53% 0.80 +0.05
15 Yr. Fixed 3.55% 0.70 +0.03
1 Yr. ARM 2.56% 0.50 +0.00
5/1 Yr. ARM 3.05% 0.40 +0.05
* FHFA averages are updated monthly.
** Mortgage Bankers Association (each Wednesday) and Freddie Mac (each Thursday) averages are updated weekly.
Secondary Markets
Price Change
30YR FNMA 3.0 94.97 +0.03
30YR FNMA 3.5 99.39 +0.02
30YR GNMA 3.0 96.47 -0.02
30YR GNMA 3.5 100.77 0.00
15YR FNMA 3.0 102.05 +0.06
15YR FNMA 2.5 98.94 +0.02
Yield Change
2 YR 0.4004% +0.0164
5 YR 1.7333% +0.0119
10 YR 2.9985% +0.0076
30 YR 3.9276% +0.0046
Prices as of: 1/3/2014 4:30PM EST
MBS and Treasury data provided by Thomson Reuters.
Mortgage News Daily and MBS Live! are exclusive re-distributors of Real Time Thomson Reuters Mortgage Information.
Secondary Marketing Managers:
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About This Report

Mortgage News Daily is a trusted source of mortgage rate market data and analysis, with over 1 million readers each month.

Our Daily Rate Report is the most accurate and timely report of its kind, factoring in actual rate sheet data from top lenders combined with reports from our community of originators on how they’re generating quotes based on TODAY’S rate sheets.